Good morning, and welcome to EnWave Corporation's second quarter fiscal year 2022 earnings conference call. My name is Donna, and I will be your operator for today's call. Joining us for today's presentation are the company's president and CEO, Brent Charleton, and Dan Henriques, EnWave's CFO and COO of NutraDried. As a reminder, all participants are on a listen-only mode and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Finally, I would like to remind everyone that this call will be made available for replay via a link in the investor relations section of the company's website at www.enwave.net. Now, I would like to turn the call over to EnWave's CEO, Mr. Brent Charleton. Thank you. Please go ahead. Thank you, and welcome to everyone on the call today. Before I discuss our recent performance in Q2 and our outlook for the remainder of fiscal 2022, I would like to remind everyone that the information we are about to present contains forward-looking information that is based on management's expectations, estimates, and projections. These statements are not a guarantee of future performance and involve a number of risks, uncertainties, and assumptions. Please consider the risk factors in the filings made by EnWave on SEDAR when reviewing this information. Also, all amounts discussed will be in Canadian dollars unless otherwise noted. Now with the important disclaimer complete, let's discuss our recent performance. For the purpose of this conference call, we will refer to our patented vacuum microwave technology business unit, inclusive of our licensing machine sale and toll manufacturing service, which we've dubbed REVworx, as EnWave, and our operating subsidiary that leverages Radiant Energy Vacuum or REV technology for branded and bulk snack products as NutraDried. I'll first provide an overview of EnWave's corporate progress in fiscal 2022, and then a summary of the advancements we have made with NutraDried. Following my update, Dan, EnWave's CFO and COO of NutraDried, will summarize our Q2 consolidated financial performance. Our performance in Q2 was a mixed bag. Our consolidated revenue grew to CAD 6.9 million in the quarter positive, which was an improvement of CAD 2.2 million year-over-year, and about CAD 600,000 quarter-over-quarter. Our year-to-date third-party royalties also grew to CAD 750,000, representing a 55% growth year-over-year, another great positive. In regards to segmented revenue, NutraDried's Q2 revenue grew by 142% relative to Q1, a great step in the right direction. While EnWave's Q2 revenue was down due to lower revenue recognition tied to machine sales. Machine sales at EnWave have been historically lumpy, and Q2 reflects this. Sometimes we close multiple large system sales in close succession, and other times there are months where none close. Progress is made within our pipeline. We continue to fill the top of our sales funnel and work multiple prospects downwards in the funnel. Our pipeline is still strong, and through the latter half of this fiscal year, we hope to deliver positive lumpiness in the form of a machine order glut. Like most other companies, EnWave continues to face supply chain challenges in the form of higher input costs and longer lead times. We've chosen to combat these issues by remaining proactive in our inventory build to ensure timely delivery of machines and have negotiated certain bulk pricing discounts with key suppliers. Given our robust pipeline for potential new machine orders, we want to be ready with all critical long lead time parts to maintain a high service level to ensure timely royalty generation. In some cases, we have increased the pricing of our products to minimize the impact of growing input costs on our businesses. Operating in the backdrop of a challenging labor and supply market, many of our prospective and current partners are encountering construction delays and elongated project timelines. This environment, particularly in the cannabis industry, has led to some machine installation delays and purchase order decisions getting pushed out. Currently, we are waiting to install two 120 kW machines for U.S. cannabis partners and a 60 kW for a food partner, all related to facility readiness. Once these are installed, we expect more royalties to be forthcoming. As of the completion of Q1, we felt the goal of securing 10 large-scale machine orders and fifteen 10 kW units in fiscal 2022 was still attainable. With Q2 being slower than anticipated, it is looking like we may come up short on those ambitious targets and more likely close between six and eight large-scale machines and ten 10 kW units in fiscal 2022. If we are successful, this would be a significant improvement year-over-year, and to date, we've confirmed two large-scale and four 10 kW units. Our machine sales confirmed in Q2 include a 120 kW unit to Orto Al Sole, our partner from Italy, to increase their manufacturing capacity to produce premium fruit and vegetable snack products. Orto is a family-owned, vertically integrated agriculture company with a rich multi-generational history. We believe that Orto has the perfect mix to prospectively achieve commercial success, low cost, high quality raw materials, and expertise in grocery product distribution and marketing. Additionally, in the second quarter, EnWave signed repeat 10 kW machine purchase orders with Fresh Business, our partner with operations in both Peru and Spain, with Dole Worldwide Food and Beverage Group, one of our most promising commercial relationships, and Nomad Nutrition, a local Canadian company that has won new retail distribution for its line of shelf stable, ready-to-eat meals that are marketed towards those living active lifestyles and outdoor enthusiasts. We don't recognize the revenue tied to 10 kW machine sales until the units are installed and commissioned for use. We expect all three of these 10 kW units to be operational in Q3. Our potential large-scale machine order pipeline for the next four months is tied to both exclusivity commitments by current royalty partners to scale up their manufacturing capacity in order to retain their exclusive license rights and the confirmed commercial success reported by other current royalty partners in regards to their respective product launches. We expect many partners to need more REV capacity to scale their businesses. We also continue to focus on new partner opportunities in the cannabis industry with several live leads in Europe, Australia, the U.S., and Canada. Thorough evaluation of our tech is being completed by these companies, and we believe will compel many to adopt REV in the coming quarters. REV's value proposition is clear for cannabis processing, faster drying, smaller footprint, better cannabinoid and terpene retention, and a premium smoking experience as per the many online reviews from different consumers of the current licensees of our technology. REVworx has been operational now for three months, and we expect to earn our SQF, which stands for Safe Quality Food Level one certification in the coming weeks. This is a critical step towards being able to co-manufacture or toll dry for large consumer packaged goods companies. We've had many production runs in our plant to date and have showcased our technology's capabilities to numerous visiting prospects to our headquarters in Vancouver. We are now working towards larger contracts for this service offering, many with current royalty partners. REVworx is meant to act as the ultimate showroom for our tech, provide bridge manufacturing capacity for companies that want to scale up, and enable potential royalty partners to establish product success in market before committing large CapEx. We think REVworx will be incredibly valuable for us as we pursue the rapid expansion of our business. Switching gears now to NutraDried. There have been many positive changes made over the past 3Q. Expenses remain in check and positive gains have been made in new distribution, new product launches, and development of our team. Revenue in Q2 was much stronger than Q1 due to a Costco Canada program and one U.S. Costco regional rotation. NutraDried's sales team has secured placement of four SKUs in over 1,800 Kroger locations and launched Moon Cheese sticks nationally with Whole Foods. We have also confirmed Walmart will pick up three Moon Cheese stick SKUs in 300 stores to start and will begin selling in October. A meaningful customer activation in Publix generated a 12.5x lift after a heavy promotion with almost 90,000 units sold. Last quarter, 80,000-pound monthly sales was the metric to break even at NutraDried. With recent material increases in raw material cheese prices, this metric has now increased to 105,000 pounds per month, and our current average is around 80,000 pounds per month, the previous target. This challenging economy has moved the goalposts on us, and we're adapting to these conditions. NutraDried's focus over the next quarter will include the pursuit of more meaningful distribution wins and a successful launch of sticks into the grocery channel. We are targeting fiscal 2023 for profitability. We are also converting our Amazon business from a wholesale model to a retail model, a move that should further boost our online margins. With that, I'll now turn it over to Dan Henriques to summarize our Q2 financials. Thanks, Brent. Good morning, everyone, and thanks for joining us today. I'll take some time to go through our Q2 2022 financial results. Please note the figures I'll talk about today can be found in our press release from this morning and in the financial statements and the MD&A filed on SEDAR. All amounts will be in Canadian dollars unless otherwise noted. I will make reference to Adjusted EBITDA a few times. It is a non-IFRS financial measure, so please refer to the non-IFRS financial measure disclosures and a reconciliation to GAAP net income in both our press release and in the MD&A. Please note the comparative period I'll refer to throughout is the prior year Q2, ended March 31st, 2021. Consolidated revenues for Q2 were CAD 6.9 million, quite strong relative to past quarters, compared to CAD 4.7 million in Q2 of 2021. This is an increase of CAD 2.2 million or 47%. In Q2, 78% of our revenue was derived from Moon Cheese sales with a major program within Costco Canada, as well as new distribution gains in Kroger and Whole Foods in the U.S. grocery channel, a very important channel for us. Positive gains in new distribution started shipping in Q2, and we're aiming to confirm more of these in the latter half of the year. The strong Moon Cheese revenue of CAD 5.3 million offset softer equipment sales contract revenue at EnWave. EnWave's revenue from equipment sales was CAD 1.06 million compared to CAD 1.96 million for Q2 of 2021. The timing of large-scale machine orders is inherently lumpy, and our Q2 kind of represents that lumpiness. The pipeline of opportunities is still robust, and with several royalty partners planning to scale up capacity this year, we're aiming to confirm large-scale deals over the coming weeks and months. In Q2, we generated CAD 245,000 of royalty revenues from third parties, which is a 50% increase from Q2 of 2021. We're continuing to confirm new licenses, commercial opportunities to expand our royalty base, and we expect this number to continue to grow as we execute on our business model around the world. Remember, that's the plan of EnWave, build the royalty base. Gross margin for Q2 of 2022 was 20% compared to 10% for Q2 of 2021. Our gross margin came down from the high in last quarter of Q1, which was 43%. Remember, that was boosted by the sale of a 120 kW was sold for a very high margin. Cost of goods at NutraDried increased in Q2 with rising block cheese prices. Block cheese pricing will impact gross margin in NutraDried for the balance of the year, with commodity pricing for cheese up 35% over last year. In May, a wholesale price increase of 6% across our customer base took effect in an effort to partially offset these cheese prices. As we look at cheese futures, we're hoping these increases will abate towards the end of the year. EnWave's margin for Q2 was slightly compressed due to the decreased overall large-scale machine revenue. We put our resources to work building two 120 kW machines on spec in anticipation of demand, and as we work to confirm new machine orders from the equipment sales pipeline in succession, then we'll be able to deliver strong margins at EnWave. Adjusted EBITDA, which is a non-IFRS financial measure, so please refer to the reconciliation to GAAP net income in our MD&A, was CAD 1.2 million loss for Q2 of 2022, compared to a loss of CAD 1.9 million for Q2 of 2021, an improvement of about CAD 700,000. The consolidated net loss for Q2 of 2022 was CAD 2.4 million, compared to a loss of CAD 2.3 million of last year. By and large, our SG&A expense structure was in line with Q2 of 2021. The path to a positive Adjusted EBITDA exists when we realize more REV machine sales and Moon Cheese sales, and we can scale our revenues without adding significant new costs. We'll continue to invest where we need to, particularly in sales and marketing, in order to drive revenue growth in both business units. We'll also prudently manage our non-revenue-generating costs to control our expenses. Our balance sheet at March 31 remains very healthy, with a strong treasury of CAD 9 million and net working capital surplus of CAD 14.7 million. The capital project to build out the REVworx facility is now complete and was funded through existing cash resources. Aside from a small COVID-19 relief loan and some facility leases, our balance sheet remains debt-free. Thank you, Dan. As you heard, we are well-resourced to scale our businesses. We have ample new opportunities to pursue. We are confronting the economic challenges in the marketplace. Regardless of some recent delays we've experienced with projects, our pipeline of potential sales remains very strong. We have the opportunity to confirm six to eight large scale and 10 10 kW machine sales cumulatively this fiscal year. If we can achieve these targets, and we will be profitable. NutraDried is winning new material distribution for both our Moon Cheese sticks and bites items, and expenses are being managed prudently. We have a headwind of unusually high cheese prices at the moment, but once pricing returns closer to historical norms, NutraDried should be profitable again. We are very pleased with the progress being made here. We have a strong treasury to execute on our plans, and we will be conservative in deploying our capital. But for growth opportunities, we won't pull back. Collectively, our team remains driven to achieve consolidated profitability. With that, I'd now like to open the call for your questions. Operator, please provide the appropriate instructions. Thank you. The floor is now open for questions. If you would like to ask a question, please press star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star two if you would like to re-remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. For parties connected via the webcast, you may use the Ask a Question box located on the side of your screen. Just type your question in the box and click Enter to submit your question. Again, that's star one to register a question, or if you use the web platform, use the Ask a Question box. If there are any outstanding questions at the end of the call, the company will be happy to take them by email at info@enwave.net. Our first question today is coming from Neil Linsdell of iA Capital Markets. Please go ahead. Hey, good morning, guys. Morning, Neil. First, can we just start off on basically the revised guidance on the REV units? Last time when we were talking about the guidance on the number of units you had, I think you said 60% of the units you expected to be from existing partners. I understand you've got some global supply chain problems, and you've got customers which are deferring. Is it hitting everybody or existing customers taking their full allotment and new customers are being a little bit more cautious or delaying projects? Thanks for the question, Neil. In regards to the guidance provided and those large-scale purchasers that we've thought we were going to consummate through fiscal 2022, the ones that have gotten pushed out into fiscal 2023 are primarily tied to existing partners in the cannabis space, whom communicated the need to scale up manufacturing capacity to us throughout the first half of this fiscal year. Then more recently, literally within the past few weeks, have communicated delays in their construction of new facilities in which would house these prospective new units, hence the reduction in the number of large-scale machines targeted for this year. That's the primary reason. Okay. That makes sense. Okay. On the margin pressure, I guess on the Moon Cheese snacks, a couple of questions there. On the cheese pricing, you know, your suppliers, are you expecting to see, you know, stabilization of the cheese prices, a drop in the cheese prices, further inflation? How does that coordinate with your potential to pass through price increases, perhaps on some of your existing partners? Thanks, Neil. Yeah, you know, we watch cheese prices all the time. As you can imagine, it's about. Well, it's our number one input cost of NutraDried. Pricing relative to last year is up 30%-35% in lots of cases. I mean, we watch the futures very closely, which kinda gives you an indication as to where things are gonna go, you know, several months down the road. Futures are lower than where spot pricing is today, so that gives us hope that prices are gonna come down. Obviously, the world is changing rapidly, and all it takes is a little bit of a shock to move things in another direction. Based on what we're seeing, we think the prices are gonna abate towards the end of the year, looking at the futures. Today, the spot prices are up quite a bit. We have to deal with that reality. In terms of passing pricing on to our customers. In the CPG world, there's only so much price increases you can push through, and you have to stay in line with your competitors. Otherwise, you know, you're gonna eat that price increase by way of consumption on shelf. We've taken what we think is the right level of pricing increase right now, 6%. It takes effect this month. Obviously, we're gonna continue to watch cheese pricing and watch what our competitors do. If we need to take more action down the road, then we'll do that. If the futures come back into line, we should be back in a much better place. Okay. It's more of a market dynamic against your competitors versus contractual obligations to maintain certain prices. Yeah. I mean, every time we raise prices, the retailers will pass through at shelf. Your price on shelf moves up. If you come out of line in the category, you know it's gonna really impact consumption. It's a delicate balance you have to strike. Okay, fair enough. Just on your break even, when you talk about the, you know, the pounds per month of cheese passing through the facility. With the cheese, I don't know, this may be competitively sensitive, but when you're producing the Moon Cheese versus the sticks, I get the impression there's more air puffed into the sticks product such that for a specific volume, you'd actually have a lower kind of unit cheese cost. Is there a difference in the profitability between the two products, say, or the amount that the cheese price is gonna impact your margin? It doesn't so much have to do with the puffiness of the end product. It's more to do with the moisture content, the water that's in the cheese before it goes into drying. The yield that we get on different cheeses varies by cheese variety. Cheddar has a lower moisture content than mozzarella, so we get a slightly better yield on cheddar than we do, say, mozzarella. The sticks yield is actually a little bit below cheddar, so it's slightly less profitable from a pure cheese perspective. But with volume that will. You know, the yield difference between cheddar and mozzarella is not significant enough. If you can push enough volume through it, still it has the opportunity to be a very profitable item. You know, it's more to do with the moisture content of the incoming cheese. Okay. You are obviously, you know, making significant advancement, it looks like on the NutraDried sales among a number of partners. How much lumpiness should we expect as we're trying to model that in between, you know, Costco and Kroger and Walmart and other partners that you're looking at? Was this a particularly lumpy quarter or are we talking about more stable run rates? Should we expect something in, say, Q3, Q4, Q1, that's kind of out of line? In terms of channels, like our grocery channels, I would say not lumpy. It's very consistent. The growth we got by way of Kroger this quarter will repeat next quarter. You know, we hope to continue to be a very strong account for us. We don't have another one confirmed for Q3 at this point, so that's gonna drive some lumpiness. You know, our goal is always to build that grocery channel. That's the primary value driver behind a business like ours. You know, the wins at Kroger and Whole Foods, when they start to add up, that's gonna create a lot of value. Just to add on to Dan's response there, Neil, something to consider and good information to share with you folks is that Moon Cheese, when compared to its two primary competitors in ParmCrisps and Whisps, has had the best growth versus prior year in dollar amount in the category over the past six months. In fact, most of the other category and Whisps has had negative growth. We define as growth. It's not growth. And then we've outperformed ParmCrisps, so that's a key insight. And also what we found is that Moon Cheese consumers are greater than 80% incremental to the category, i.e., only 10.4% of consumers that buy Moon Cheese actually buy ParmCrisps, and only 17.5% buy Whisps in addition to Moon Cheese. This is quite an interesting statistic to consider. As we're winning new distribution, we're not necessarily gonna be cannibalizing the sales of retailers who are carrying these alternative products that substantially. Okay, great. Sounds good progress. Thanks. That's it for me. Once again, ladies and gentlemen, parties on the phone may press star one if they would like to register a question. Participants on the webcast can use the ask a question box located on the side of the screen. We'll pause a moment for any additional questions. We're showing no questions coming through at this time, and we have reached the end of the question and answer session. I will turn the call back over to Brent Charleton, CEO, for closing comments. Thanks very much. I just wanna thank everybody for joining us today. If you have questions that come to your mind after this call, we're readily available to answer those. Please reach out to us either to our emails directly or give us a call. Thanks so much to everyone, and thanks for your continued support. Ladies and gentlemen, thank you for your participation and interest in EnWave. You may disconnect your lines or log off the webcast at this time, and enjoy the rest of your day.